Agri credit score crosses Rs 20 lakh crore until Jan in FY24; sharp soar from Rs 7.3 lakh cr in 2013-14

Banks have already breached the goal and the quantity might cross Rs 22 lakh crore this fiscal.

To make sure the provision of agriculture credit score at a diminished rate of interest of seven per cent each year to the farmers, the Union Agriculture Ministry implements an curiosity subvention scheme for short-term crop loans as much as Rs 3 lakh.

The scheme gives curiosity subvention of two per cent each year to banks on the usage of their sources.

Furthermore, a further 3 per cent incentive is given to the farmers for immediate compensation of the mortgage, thereby lowering the efficient fee of curiosity to 4 per cent.

“Institutional credit score for the agriculture sector has elevated from Rs 7.3 lakh crore in 2013-14 to Rs 20.39 lakh crore in 2023-24 (until January 31, 2024) for 1,268.51 lakh accounts,” a senior agriculture ministry official stated. Throughout the 2022-23 fiscal, the full farm credit score disbursal stood at Rs 21.55 lakh crore, surpassing the goal of Rs 18.50 lakh crore stored for a similar interval. The good thing about concessional institutional credit score via KCC (Kisan Credit score Card) at 4 per cent curiosity each year has additionally been prolonged to animal husbandry and fisheries farmers for assembly their short-term working capital wants.

As on March 31 final 12 months, there have been 73,470,282 operative KCC accounts with an excellent quantity of Rs 8,85,463 crore.

That aside, the federal government in 2019 launched PM-KISAN scheme, beneath which Rs 6,000 per 12 months is being offered to eligible farmers instantly into their financial institution accounts in three equal installments.

The scheme was launched in February 2019, however was made efficient from December 2018.

“Since 2018, Rs 2.81 lakh crores have been transferred via Direct Profit Switch (DBT) to greater than 11 crores beneficiaries (farmers) via numerous installments,” the official stated.

Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) is a central sector scheme to offer revenue help to all landholding farmers’ households within the nation to complement their monetary wants for procuring numerous inputs associated to agriculture and allied actions in addition to home wants.

To attain the target of doubling farmers’ revenue, the Centre within the final 10 years has enhanced the minimal help worth (MSP) of crops and likewise elevated the procurement of wheat, paddy, oilseeds, and pulses.

On Wednesday whereas briefing concerning the Cupboard selections, Union Data and Broadcasting Anurag Singh Thakur highlighted that the Modi authorities has spent Rs 18.39 lakh crore on the procurement of paddy, wheat, pulses, and oilseeds from farmers at MSP over the past 10 years.

That is greater than 3 occasions of Rs 5.5 lakh crore spent by the Congress-led UPA authorities of their 10-year rule (2004-2014), Thakur stated whereas asserting that the Modi authorities was dedicated to farmers’ welfare and doubling their revenue.

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